Presenter: The broadcast is now starting.
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-: Good morning.
This board meeting of the Texas Water Development Board
is called to order.
The time is 9:31 AM.
For the record, I am Brooke Paup,
and with me today is our engineering superwoman,
Kathleen Jackson.
Mr. Harden, the first item, please.
-: Chairwoman Paup, the first item on the agenda
is consider authorizing the Executive Administrator,
chief financial officer, general counsel,
and development fund manager to take all necessary actions
on the issue, of the state of Texas water financial
assistance and refunding balance in one or more series
and approving, financial advisor disclosure counsel,
senior managing underwriter and co-managing underwriters
through the negotiation of the bond.
(speaking faintly)
-: Good morning, Chairwoman Paup and Director Jackson,
I'm Georgia Sanchez of the Executive Administrator staff.
This item seeks to initiate the process,
regional obligation bonds deal,
specifically for the purpose of providing
new financial assistance as well as refunding
of proceedings with currently callable debt.
Hilltop will serve as financial advisor
and we propose Orrick Herrington & Sutcliffe as bond counsel
and Bracewell as disclosure counsel.
For the underwriting team,
Raymond James and Associates, Inc.
is proposed to serve as senior managing underwriter
for the transaction and recommended co-managing underwriters
include Robert Baird, FHN financial Capital Markets,
Piper Sandler and Company,
and Stifel, Nicolaus & Company, Incorporated.
If approved, we will finalize our timelines,
engage the service providers.
We'll undertake the initial set issuance process
to prepare the bonds for sale.
The Executive Administrator would return to the board
for a formal approval of the bond sale,
and that will include the not to exceed advising
and associated documents for any series
to be issued under this authorization.
Brooke: Thanks Georgia.
Any questions at the moment, Ms. Jackson?
-: Just always good to say the opportunity
to get savings through the refunding as well
as be able to fund new capacity.
So build it with today's dollars,
take advantage of low interest rates,
and get those projects moving forward.
So thanks for the work on that.
-: Well said.
Georgia, you're the best in the business,
and I know a lot of thought goes in to this process.
Thank you for helping us stretch every dollar.
You know, we all recognize that this is taxpayer money
and every dollar counts.
Really appreciate your work on this.
Is there a motion?
-: I move to authorize the Executive Administrator,
chief financial officer, general counsel,
and development fund manager to take all necessary actions
for the issuance, sale, and delivery
of state of Texas water financial assistance
and refunding bonds in one or more series,
and approving the selection of financial adviser,
bond counsel, disclosure counsel,
senior managing underwriter,
and co-managing underwriters for the negotiation
of the bonds as recommended by our Executive Administrator.
-: All those in favor, say aye.
-: Aye.
-: The motion passes.
Next item please, Mr. Harden.
-: Chairwoman Paup, the next item on the agenda
is considering approving selected applications
and authorizing the Executive Administrator
to negotiate and execute contracts for grant funds
from the 2020 flood infrastructure fund cycle
in an amount not to exceed $6,167,500
for watershed flood protection planning projects,
and authorizing the transfer of $6,167,500
from the flood infrastructure funds
to the research and planning fund as authorized
by Texas water code, section 15.53488.
James BRAH-NUH-KOW-SKEE is here to present
to the board on this item,
and we also have visitor registration cards
from the Honorable Barbara Canales,
county judge of Nueces County,
and Susan Roth, president of Susan Roth Consulting,
and both of them have indicated a position for this item
and stated that they do wish to address the board today.
-: Great, let's let James present,
and then we'll hear from our visitors.
-: Thank you.
Good morning, Chairman Paup and Director Jackson.
For the record, I am James BRAH-NUH-KOW-SKEE
on behalf of the Executive Administrator.
This item before you today
is to consider approving five flood infrastructure fund
category one applications and consider authorizing
the Executive Administrator
to negotiate and execute contracts
for these watershed flood protection planning projects.
These studies represent those eligible under category one,
flood protection planning for watersheds
of the 2020 flood intended use plan.
This category of funding was designed to support studies
that conduct planning of entire watersheds,
no smaller than hydrologic unit code 10 digits
to better inform the development of strategies
using structural and non-structural measures before
a flood event such as evaluating flooding locations
and impacts, identifying and planning solutions
to flooding problems, and estimating the benefits
and costs of these solutions.
Category one studies are potentially eligible
to receive a maximum of 100% grant funds based
on criteria outlined in the flood intended use plan.
Recipients of financial assistance may either
use their own funds or borrow flood infrastructure funds
at 0% interest for any portion
of the remaining project costs.
The five applications before you today
are the City of Eastland Leon River watershed study,
the City of Gatesville's drainage study and master plan ,
the North Central Texas Council of Governments
integrated transportation and stormwater management plan,
the Nueces County regional drainage master plan study,
and the city of Raymondville's watershed study.
These applicants have submitted complete
financial assistance applications and are eligible
to receive grant funding through
the flood infrastructure fund for a portion
of their total project cost.
Table one in the board memo provides a sumMary
of funding sources for these five studies.
The Executive Administrator recommends approval
of these applications and requests authorization
to negotiate and execute contracts for grant funding
from the flood infrastructure fund and transfer
of these funds from the flood infrastructure fund
to the research and planning fund.
We look forward to working with entities during
the next phase of the flood infrastructure fund
category one projects.
This concludes my presentation and I'm happy
to take any questions.
-: Well, thanks, James.
I'm not sure if Judge Canales is here yet,
but I do know Susan Roth is here,
so let's go ahead and hear from her.
-: Susan, I've just unmuted,
if you'd just unmute your mic, you can speak then.
-: While we wait for Susan to, for IT to work,
it's Thursday, let's go ahead and hear from Ms. Jackson
if she has any questions or comments.
-: Well, I had a couple of comments
on these category one projects.
And you know, we talk about public input
and how important that is through the process,
and I think, you know, there's a project in here
that is a perfect example of that.
Initially kind of moving forward with category one,
there was the comment from the public
that we include Council of Governments
in that category as being able to kind of receive
and work through funding of projects,
management of projects.
And that's very much, I think, the case here,
that the North Central Texas Council of Governments,
and they maybe have even been the one
that actually submitted the comment,
stepped to the plate, took on the project.
And it's kind of a unique project in and of itself
in terms of what it provides because it's integrated
between transportation and storm water management,
which again, as we did the flood assessment,
we heard from communities across the state that
that was something that really needed to be kind
of a focus moving forward and a part of the planning effort.
And so I think their plan is to do a small area first
and kind of use that as a model kind of moving forward.
They also were kind of unique in being able to use
this opportunity for their funding.
And so, because they had the opportunity to participate
in the fifth, they were able to actually,
and the staff really worked hard, as I understand it,
James, I appreciate everything y'all did in terms
of being able to use that block grant funding
in conjunction with the fifth funding
to be able to move this project forward.
So I mean, a great example of public input,
a very unique and innovative approach to flooding
and something that really needed to be considered
that I think is going to provide benefits not just for them,
but also to others across the state,
and then also a very unique funding mechanism
that was worked through by the staff
to enable them to kind of move forward with the project.
So great work on that particular part.
And then the other was of course Nueces County,
and I'm sure the judge and Susan Roth will speak to this,
but you know, basically a collaborative effort.
I mean, what was totally intended,
I think, moving forward with the fifth
and the structure that was put in place,
particularly with category one, that it be a coordinated,
collaborative effort, and certainly something
that Nueces County did in kind of moving forward
and having this, you know,
pooling kind of like three studies
or three applications into one,
doing kind of like a tri-study.
So I think some great examples here
of projects moving forward,
utilizing the category one funding.
And of course, Raymondville,
we know the tremendous need down there,
so be able to have them to participate,
and of course, Eastland and Gatesville.
I mean just a really, really good package here.
So thanks so much for working on this.
-: And Ms. Jackson, great comments as usual.
I love your remark about the COGs.
I think it's so important to show that,
when stakeholders talk to us, we listen.
We are a very stakeholder-driven agency
and we love to communicate and collaborate
with all of our partners in this great state.
I'd love to give a special shout out to all
the people who made the Nueces County project happen.
I know it took a lot to get it to the finish line.
Great job, James.
We've got five great applicants, five great projects.
This is where it all begins,
planning on the basis of the entire watershed.
So fantastic job.
I'm not sure our speakers are here yet,
so we can move any of their public remarks
to the end and continue on with our items.
(speaking faintly)
Any other questions or comments, Ms. Jackson?
Good.
I move we approve the selected applications
and authorize the Executive Administrator to negotiate
and execute contracts for grant funding
from the 2020 flood infrastructure fund cycle amount,
not to exceed $6,167,500
for watershed flood protection planning projects,
and to authorize the transfer of $6,167,500
from the flood infrastructure fund to the research
and planning fund as recommended
by our Executive Administrator.
All those in favor, say aye.
-: Aye.
-: The motion passes.
Next item please. Mr. Harden.
-: The next item on the agenda is approved by resolution,
a request from the city of Palm Valley for $1,417,922
in financial assistance, consisting of $1,347,000
in financing and $70,922 in grant
from the flood infrastructure funds for planning, design,
and construction of the flood management project.
And we have Mireya Loewe here to present to the board
on this item today.
-: Good morning.
Chairwoman Paup, Director Jackson,
my name is Mireya Loewe
of the Executive Administrator staff.
The city of Palm Valley is in Cameron County,
west of Harlingen.
The city is nearly fully developed and has a population
of approximately 1,700.
Stormwater within the city is managed
via street runoff, a closed storm system,
the golf course ditch,
and the Cameron County drainage district
number five drainage ditch.
Stormwater then flows east to the north main drain.
The city has experienced several flooding events,
including the June, 2019 300-year storm event that received
a federal disaster declaration and damaged
approximately 600 houses.
To prevent further flood damage,
in 2019, the city completed
a flood reduction preliminary analysis
which identified insufficient drainage areas
and five drainage projects.
The first two projects have been completed.
The third and the fourth are scheduled for 2022 and 2023.
The fifth project is a currently proposed fifth project.
Based on the 2019 modeling, the golf course ditch
was identified as having a capacity to handle less
than a two year recurring storm event.
The proposed project will improve drainage
in the golf course ditch by replacing 2,850 linear feet
of the existing infrastructure with a concrete-lined channel
and replacing another 220 linear feet
with two 6X6 feet box culverts.
The proposed improvements will reduce
the water surface level within the city
by approximately five inches based on a 100 year event
and is estimated to reduce damage to 438 structures.
The city qualified for us $70,922 new grant
under the fifth equal to 5%
of the total project cost of $1,417,922.
The remaining 95% will be funded through fifth financing.
The Executive Administrator recommends approval
of this funding request.
And this concludes my presentation.
May I answer any questions?
-: Thanks, Mireya, questions or comments?
-: Just a great project again.
Good to see projects moving forward in the valley,
and the fact that, you know, they had done the study
in 2019 and I think you shared with us some
of the outcomes of the modeling and, you know,
very interesting to me that they're able
to actually quantify the benefit, not just in terms of,
you know, structures that would be out in the floodplain,
but also that five inches that you (speaking faintly).
I think, you know, your point whenever we talk
about these type of infrastructure projects
is that everything kind of flows to the main ditch
and then out to the Laguna Madre.
So to the extent that we can do things, you know,
like the concrete culverts and, you know,
the open channels, I mean, the better able that we're able
to build to manage stormwaters.
I mean, not just for the 100 year storm events,
but also for flooding that occurs oftentimes through,
you know, very light rain events.
So it's good to say we're moving forward with this project.
Appreciate it and the work of the staff, and again,
seeing the planning turning into projects through the fifth.
So thank you.
-: Well said.
I love seeing the direct benefit
of the 300 structures removed from the flood plain,
which is really fantastic.
This area has dealt with just repetitive flooding
and every fifth project we fund saves property and lives.
So it's just fantastic.
So thank you, Mireya.
Is there a motion?
-: I move we adopt the proposed resolution
from the city of Palm Valley for $1,417,922
in financial assistance, consisting of $1,347,000
in financing and $70,922 in grant
from the flood infrastructure fund for planning,
design, and construction of a flood management project
as recommended by our Executive Administrator.
-: All those in favor, say aye.
-: Aye.
-: Motion passes.
Thank you, Mireya.
Next item please.
-: Chairwoman Paup, the next item on the agenda
is approved by resolution, a request from the city
of Weslaco amending TWDB resolution 20-098
to extend the commitment period, change the financial side,
and authorize the purchase of bonds (speaking faintly)
and for $3,040,000 in financial assistance,
consisting of $2,280,000 in financing
and $760,000 in grant from the flood infrastructure fund
for planning, design, and construction of (speaking faintly)
And Mireya Loewe is here to present for their board
on this item as well.
-: For the record, my name is Mireya Loewe
of the executive administrative staff.
The city of weslaco is located in Hidalgo County
and has a population of approximately 42,000.
The city received a commitment from
the flood infrastructure fund for a category three project
in December of 2020, consisting of $1,951,708 in grant
and $1,051,000 in financing,
with a commitment expiration of June 30th, 2021.
If the proposed category two project is approved,
the city wishes to close the financing on both projects
as a single bond series to minimize issuance costs
and maximize funds for project-related costs.
Therefore the city is requesting approval
of two components today.
The first is to amend resolution 20-098
for the approved category three project to,
one, extend the commitment from June 30th
to November 30th, 2021,
to sync the commitment expiration date
with those of the proposed category two project.
Two, to authorize the purchase of bonds
in one or more series,
and three, to amend the repayment pledge
to ad valorem taxes and a subordinate lien
on the net revenues of the city's waterworks
and sewer system so that the pledge matches
with the city's other outstanding
and similarly secured debt.
Our financial analysis indicates
that this change in pledge does not affect
the city's repayment ability nor our internal risk score.
The second request is for funding
of a category two drainage project.
The city has experienced repetitive flooding
with approximately 510 residential homes located
within the 50 year floodplain.
Furthermore, the existing underside
storm drainage infrastructure and system
do not provide protection to residents
in the flood-prone area.
The proposed project is based on the findings and estimates
of the city's stormwater improvements plan adopted
on April of 2019.
The proposed project includes construction
of an 11-acre stormwater detention pond
on property currently owned
by the Weslaco Independent School District.
The detention pond will be constructed
with a level bottom to allow for the possibly installation
of future soccer fields and other recreational spaces.
Both the weslaco ISD and the city will maintain and provide
the uptake of the proposed storm water detention pond.
The proposed project will remove approximately
209 houses from the 10 year flood plain
and provide storm drainage relief to approximately
745 people in the Northwest section of the city.
The city qualified for a grant equal to 25%
of the total project cost of $3,040,000.
The remaining 75% will consist of fifth financing.
The Executive Administrator recommends approval
of the two requests.
This concludes my presentation.
May I ask for any questions?
-: Questions or comments.
-: All the right elements are in place on this one.
I think, great work on being able to sync the two requests.
Obviously, category three, utilizing, you know,
outside funding sources, and then the board providing,
you know, through the fifth funds to be able
to move forward and complete that project.
And then also the category two,
the detention pond, which also can have other uses,
and this has been done and successfully done in other parts
of the state for a soccer field.
And then, you know, just to point out
the investment by the community.
I mean, they're utilizing the fifth, and yes,
the state is investing and getting benefit from it.
But the community is making a sizeable investment
and committing funds of their own to kind of move
this project forward.
So I think a perfect example of how the fifth
is incentivizing communities to take projects
and be able to move them forward,
utilizing the federal funds through category three,
and then also incentivizing to kind of move forward
with a project that provides the typical detention
and storm drainage and benefits homes and residences.
So a great project.
Appreciate you working on this. and just again,
great to see these projects moving forward.
-: And Mireya, this is a project that really warms my heart.
The fact that we are providing
such wonderful customer service to Weslaco is fantastic,
and the fact that one of our projects is going
to provide an area for children to play soccer
is just wonderful.
As a mom, that just is a fantastic part of this project.
So I very much appreciate it.
Great job.
Mireya: Thank you.
-: I move we adopt the proposed resolution
for the city of Weslaco, amending TWDB resolution 20-098
to extend the commitment period,
change the financing pledge,
and authorize the purchase of bonds in one or more series,
and for $3,040,000 in financial assistance,
consisting of $2,280,000 in financing
and $760,000 in grant from the flood infrastructure fund
for planning, design, and construction
of a detention pond project as recommended
by our Executive Administrator.
All those in favor, say aye.
-: Aye.
-: The motion passes.
Next item, please.
-: Chairwoman, the next item on the agenda is public comment.
-: I believe we have Ms. Roth and Judge Canales with us
to speak on item two.
Barbara: Yes, good morning.
Thank you for the indulgence of being late.
We were having some technology issues,
so I think you all will appreciate this
with the big storm that moved through here,
a big bolt of lightning struck and we lost
our internet here.
But to the magic of hotspots, good morning,
and thank you for really giving me a brief moment to express
my thanks to Jeff Walker and to the entire staff
for what was really, what began as a challenging project
and turned out to be one of our proudest moments,
and that was the application that Nueces brings to you today
with gratitude and thanks on behalf of a tri-county effort.
What you're seeing here today is historical.
I don't have to tell you how hard it is to get everybody
in your own county to get together,
but when you can hold hands in three counties
and multiple cities inside to do
a historical master drainage study,
this is what the win-win looks like.
And, you know, I don't know if this was just God's way,
but you know, we received eight inches yesterday.
While I was in Commission of court,
we were evacuating people, we were creating shelters,
and we were still conducting court.
This morning, while the water has receded,
I don't mind sharing with you the impact
that these dollars will have in our community.
People are truly suffering,
not just for years, for generations.
This is the first glimmer of hope.
I cannot begin to thank you enough
for letting me stand up today and letting those people know
that help is on its way.
We really needed these funds.
We needed your patience and indulgence
to get our team together.
So on behalf of Jim Wells, Kleburg, Nueces,
drainage district number two, and the city of Driscoll,
those last two have AMHIs of under $35,000 a year.
We've done something very special
. And again, my grateful heart on behalf of all
of our citizens for voting yes for agenda item number two.
-: Thank you so much for those kind words.
I thought this would be a board meeting where I didn't cry.
It's just not happening.
We're just, of those kind words,
and it was a huge effort on staff's part,
and we appreciate your work on it as well.
Barbara: Thank you, thank you so much,
and we will certainly share the fruits of our labor
when our study is done and our projects begin.
Thank you.
-: Judge Canales, I want to Thank you for your leadership,
because you know, we can have the money
and we can have the technology,
but it's up to the local leaders to take the bull
by the horns and move the project forward.
And this was certainly the case,
and you're also making an investment in this project of,
you know, your own financial dollars.
So it's great to hear, and we look forward to the outcome
of the study and the projects that will come out of it
that hopefully we can work together and move forward.
So thanks again for your leadership and the others
in the community that brought together
this three-county effort.
Barbara: Thank you, thank you so much.
-: we have any other public testimony?
Susan: Hi, this is Susan VAHN.
-: Hi, Susan.
Susan: Hi, you guys.
I just need to find out from Judge Canales,
(speaking faintly)
the tri-county effort for the project,
and I'm just, I appreciate the opportunity
(speaking faintly)
And I also want to give a shoutout of appreciation
to Jeff LEY-HOOM, but also want (speaking faintly),
Mark WAHL-EHT, and Tom EHN-SEHL-MAHN, (speaking faintly),
just let them know ow much we really appreciate
all their hard work
and just (speaking faintly) as they continue
to give such excellent customer service
and they're always so helpful.
So a shoutout to them.
Thank you.
-: Thanks Susan.
I agree with you, we have exceptional employees
at the Water Development Board
who really go above and beyond to help all
of our applicants and projects,
and they've done a fantastic job with this.
So thank you for those kind words as well.
Anything, Ms. Jackson?
-: Just again, appreciate Susan's engagement, and of course,
since she's past president of the Texas section
of the American Society of Civil Engineers,
and I see was very engaged throughout the process of helping
to provide comments in putting together the fifth,
and moving forward, continue to hear their thoughts
and ideas which I think has been so important
in kind of getting the structure together that enables us
to move forward and meet the needs
of communities across the state.
So just wanna recognize since, you know,
Susan is onboard and part of the discussion here,
the tremendous input that we received, again,
across the state from a technical standpoint
that are really, I think,
making a big difference in being able to move
these projects forward.
So thanks, Susan.
Susan: Thanks so much, Director Jackson.
Always appreciate it.
-: Thank you.
Is there anyone else who wish to provide public comment?
Now's your chance to do so?
-: I don't see anyone at this time.
-: Give it a minute.
I really need to start bringing tissues to board meetings.
All right, I think we're good.
The board will not meet and close session today.
This board meeting at the Texas Water Development Board
is adjourned.
The time is 10:02 AM.
Thank y'all, great meeting.
-: Great meeting.